Bitcoin is Steady As She Goes at $1,750

Investing, News | May 16, 2017 By:

Bitcoin and other cryptocurrency prices held steady today, as the recent bad news storm that killed the May rally has temporarily calmed.

As of mid-day, bitcoin price for a single coin was trading around $1,750 on several exchanges, pretty much in the range of where it was at on Monday. Other cryptocurrencies were down slightly on the day’s trading, with ethereum at $90, Litecoin at $24, Dash at $16, and Monero at around $9.

The day’s big winner was Ripple, up more than 30 percent on news that its native XRP cryptocurrency would have a portion of its company-owned total held in escrow for a time. The move to freeze assets was designed to allay fears that Ripple would not release a large amount of stored XRP crypto into the market at once, flooding the market and potentially lowering its price.

Bitcoin had suffered a price retreat from last week’s all-time high. It reached a floor of $1650 at one point on Monday before rebounding to today’s level. The all-time high of $1,839 achieved last week was dented by the worldwide ransomware attacks that occurred in the final days of the business week. The hacking group demanded ransom in bitcoins, thereby providing a dose of bad news about bitcoin security and perhaps prompting a rush to the exits by nervous new investors.

The rally floor for bitcoin’s all-time high was achieved on March 10, when it topped the $1,300 mark for the first time. A disappointing ruling by the US Securities and Exchange Commission on the Winklevoss twins’ bid to establish an exchange-traded fund briefly drove down the price to the mid-$900 range. Since then, it has increased an estimated 40 percent.

Increased worldwide trading, Japan’s legalization of bitcoin as a monetary unit, and improved outlooks from Russia and India toward easing regulations in those countries have been cited as reasons for the rally. In the US, the SEC said it will review its decision to deny the Winklevoss exchange-traded fund, also sparking some optimism. The deadline for comments to the SEC in support of its decision or against the denial was May 15.